Keane v. Pittsburg Lead Mining Co.

105 P. 60, 17 Idaho 179, 1909 Ida. LEXIS 96
CourtIdaho Supreme Court
DecidedNovember 3, 1909
StatusPublished
Cited by23 cases

This text of 105 P. 60 (Keane v. Pittsburg Lead Mining Co.) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Keane v. Pittsburg Lead Mining Co., 105 P. 60, 17 Idaho 179, 1909 Ida. LEXIS 96 (Idaho 1909).

Opinion

STEWART, J.

— At the close of the evidence the court gave to the jury the following instruction: “Gentlemen of the jury, the court instructs you, as a matter of law, that the evidence is insufficient to support a verdict in favor of the plaintiff in this case and you are, therefore, instructed to find for the defendant,” In accordance with this instruction the jury returned a verdict for the defendant. Plaintiff moved for a new trial, which was overruled, and this appeal is from the judgment and from the order overruling the motion for a new trial.

The plaintiff claims that he was one of the incorporators of the California Consolidated Mining Company and subscribed for 333,333 shares of the capital stock of said company, which shares were issued and delivered to the plaintiff; that 216,667 shares of said stock were indorsed in blank by the plaintiff and were deposited with James [182]*182Viles of Chicago, Illinois, for the purpose of sale; that J. H. McClarren of Pittsburg, Pennsylvania, was engaged in negotiations for the purchase of a majority of the stock of the California Consolidated Mining Company and other mining claims adjoining, for the purpose of organizing a corporation and promoting the development of said property. That Me-Clarren opened negotiations' with Viles and this plaintiff for the purchase of the majority of the capital stock of the said California Consolidated Mining Company, said Viles and the plaintiff being the principal stockholders of said company, and that said stock was deposited by this plaintiff with Viles at the request of McClarren, with instructions to deliver the same to McClarren or upon his order upon the payment to said Viles for said stock of the sum of ten cents per share, to wit, $21,066.70; that McClarren knew that the plaintiff was the owner of said stock and that Viles was acting solely and only as the agent of the plaintiff; that on March 28, 1905, Viles sold, transferred, assigned and delivered the said 216,667 shares of stock to McClarren, as trustee for the defendant, and that' ¿said McClarren took and accepted said stock from said Viles and caused the same to be duly transferred upon the books of the corporation into the name of McClarren, trustee, for the defendant; and afterward caused the defendant to be incorporated and thereafter conveyed said 216,667 shares to the defendant; that neither McClarren nor the defendant has paid the purchase price for said stock and the same is due, for which judgment is demanded..

The defendant admits that the plaintiff was a subscriber for 333,333 shares of the capital stock of the California Consolidated Mining Company, but denies that such stock was ever issued and delivered to the plaintiff, and denies that the plaintiff was the owner of 216,667 shares, or that the same were indorsed in blank by plaintiff and deposited with Viles for sale; admits that J. H. McClarren was engaged in negotiating for the purchase of a majority of the stock of the California Consolidated Mining Company and opened negotiations with James Viles, but denies that McClarren ever had any negotiations with the plaintiff, and denies that [183]*183Yiles was instructed to deliver said stock to McClarren or to his order upon the payment to Yiles of the sum of ten cents per share, to wit, $21,066.70; denies that McClarren knew that the plaintiff was the owner of said stock, and that Yiles was acting solely and only as the agent of plaintiff; denies that on March 28, 1905, Yiles sold, transferred, assigned or delivered said certificates of stock to McClarren or that McClarren took or accepted said stock from Yiles or caused the same to be transferred upon the books of the corporation in the name of McClarren, trustee; denies that McClarren thereafter conveyed to the defendant the said 216,667 shares of stock in the California Consolidated Mining Company or that the defendant has since been or now is the owner thereof; admits that the stock has never been paid for either by the defendant or McClarren, and alleges that they refused to pay for the same. It is further alleged that in the year 1904 J. H. McClarren, acting as trustee, began negotiations with James Yiles, Jr., the president of the California Consolidated Mining Company, for the purchase of a majority of the shares of the capital stock of that company, and that Yiles represented to McClarren that said company owned various assets, including the title to the California lode mining claim, free and clear of all encumbrances, and with this understanding McClarren took an option from said Viles for the purchase of the majority of the stock of said company; that such dealings were exclusively with Viles individually and as president of the California Consolidated Mining Company, and that Yiles had such stock in his possession; that during the life of the option McClarren discovered that a 13/16 interest in the California lode mining claim, together with said shares of stock in the California Consolidated Mining Company which had been or were to be issued in payment, therefor, had been attached by the receiver of the Coeur d’Alene Bank in a suit of the said bank against one George B. McAulay, and that Yiles represented and agreed that the said litigation would be disposed of and any and all liens against the 13/16 interest satisfied or disposed of, and that he would give good title to all the shares of stock which he agreed to sell; [184]*184and that in the event the California Consolidated Mining Company should by reason of said litigation lose the said 18/16 interest in the California lode mining claim, all shares of stock which had been issued in payment of the said 13/16 interest should not be outstanding against the company but should be surrendered for cancellation, and that Viles stated that he had all of said shares amounting to 216,667 in his possession as president of the California Consolidated Mining Company, and that his understanding and agreement with the company was that these shares were held by him as a guaranty that the said 13/16 interest in the California lode mining claim should be transferred and assigned to said company free and clear of all encumbrances, and that said 216,667 shares of stock are the same as are referred to in the plaintiff’s complaint, and with said understanding and upon said conditions said McClarren agreed to purchase the stock offered by said Viles, amounting in all to 930,006 shares, and at various times made payments upon said contract; that relying upon Viles’ ability to perform his part of said contract, Viles, about March 28, 1905, caused a certificate of stock to be prepared for 913,334 shares in the name of J. H. McClarren, but that said stock was not delivered to McClarren nor accepted by him, but was held by Viles pending the final completion of the contract; that at the time said stock was made out the litigation involving-the 13/16 interest was still in progress; that on November 13, 1905, McClarren tendered to said Viles the balance of the purchase price agreed upon and demanded compliance upon his part of said contract, and being unable to comply with the terms of said contract agreed with McClarren that if he would then pay for the balance of the stock, Viles would deliver the same to McClarren and would place the 216,667 shares of stock in controversy in escrow, McClarren to place the money agreed to .be paid therefor also in escrow upon a joint agreement, whereby the stock and money were to be disposed of under certain conditions embodying the terms of the agreement and understanding upon which the original contract for the purchase of the majority of the stock had [185]

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Bluebook (online)
105 P. 60, 17 Idaho 179, 1909 Ida. LEXIS 96, Counsel Stack Legal Research, https://law.counselstack.com/opinion/keane-v-pittsburg-lead-mining-co-idaho-1909.